The straw that broke the Randian hero’s back?

Written By: - Date published: 12:30 pm, July 18th, 2011 - 63 comments
Categories: capitalism, class war, tax - Tags:

I’ve been thinking about that lawyer Casey Plunket who threatened to leave for Australia over Labour restoring the 39% top tax rate at the stratospheric threshold of $150,000. It means a couple of thousand more tax for the wealthiest Kiwis. Does anyone seriously think anyone will move countries over that? Do we need the kind of people that would?

Lets say our high earner is on $200,000. That’s four times the average wage. You would recognise him if you saw him: he would be a god-like giant lifting the world on his shoulders and doing the work of four mere mortals, which justifies that salary.

How much would Labour’s new tax rate cost him? Only $3,000. That’s partially offset by the $525 he gets from the tax-free zone too, and the GST-off fresh fruit and vegetables. All up, it’s well less than 2% of his net income.

Does a man with net pay of $140,000 a year really care about $2,500 so much that he would go to the cost and trouble of shifting countries, abandoning his job, his friends, his family and other connections? If all that is worth less than $3,000 a year to him, is he really a contributing member of society, or just someone sucking as much as he can out of it?

At the end of the day, the wealthy didn’t flee New Zealand when the 39% rate was introduced, or when much higher rates were in place until the 1980s. In fact, the income of people on the top tax rate exploded under Labour despite this ‘crippling’ tax rate. They didn’t leave then, and they won’t leave in 2012, because a couple of percent here or there in tax simply doesn’t really matter, even to those who protest most loudly that it does.

63 comments on “The straw that broke the Randian hero’s back? ”

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  1. queenstfarmer 1
    18 July 2011 at 12:47 pm

    top tax rate at the stratospheric threshold of $150,000

    Why is that stratospheric? The Australian top rate kicks in at AUD$180,000.

    • Colonial Viper 1.1
      18 July 2011 at 12:58 pm

      because our incomes are generally 30%-40% lower in NZ, for the same job.

      Also less than 2% of NZ’ers earn that much.

    • Lanthanide 1.2
      18 July 2011 at 12:59 pm

      The closest comparison would be the 37% rate, which kicks in at AUD$80,000. Hence 39% not kicking in till $150k really is stratospheric in comparison.

    • The Economic Illiteracy Support Group 1.3
      18 July 2011 at 1:00 pm

      Just think – you’re only one Wikipedia search away from being able to answer your own question.

      The Australian median household income in 2007/08 was AUD$66,820, while the New Zealand household income was only NZ$34,684 in the same period. Note this is household income, not individual income.

      Labour’s proposed top tax rate would kick in at about 4.3 times the median household income, while the Australian top rate kicks in at only 2.7 times the median household income. So ignoring the exchange rate differentials, the Australian rate affects more people because they earn higher incomes. Relatively speaking, it;s entirely correct to say that the proposed NZ rate is indeed more “stratospheric” than the Aussie one, despite the differences in headline rate.

  2. Afewknowthetruth 2
    18 July 2011 at 12:47 pm

    Any society that allows individuals to acquire obscene wealth at the expense of the greater community and at the expense of coming generations is a thoroughly sick society and has no fuutre.

    Unfortunately that is exactly the kind of society we live in.

    As I understand it, in Cuba nobody gets more than three times the average income and everybody has access to free healthcare (which is probably why the corporations that are in control of the US government have been so keen to see Cuba destroyed).

  3. Peter Martin 3
    18 July 2011 at 12:51 pm

    ‘Does anyone seriously think anyone will move countries over that? Do we need the kind of people that would?’

    How many of these high earners have left their countries to migrate to NZ, given our low taxes…?

    • Ari 3.1
      18 July 2011 at 1:07 pm

      If people wanted to migrate to a low-tax country, they wouldn’t pick middle-of-the-road New Zealand. People tend to move here for lifestyle reasons.

      • The Economic Illiteracy Support Group 3.1.1
        18 July 2011 at 1:36 pm

        I hear that Somalia has effectively zero tax, due to having effectively zero government, but I’ve yet to see the success of their plan to attract high-income high-flyers to revitalise their economy. Perhaps Casey Plunket can be the first.

        • Frank Macskasy 3.1.1.1
          18 July 2011 at 2:10 pm

          Funny that, TEISC…

          I keep making that suggesting to folk who continually whinge about paying taxes… and thus far I’m not aware of anyone wanting to move to a tax-free nirvana, minimalist-government, that is Somalia.

          What a shame. I’m sure that Somalia would suit Libertarianz to a “t”. No ‘complicated’ RMA. No pesky regulated economy. No government bureacrats to interfere with these brave entrepreneurial souls.

          No tax.

          Everything user-pays.

          Damn, there should be BOAT LOADS of aggrieved, wealthy tax-payers heading for that Free Market Heaven…

          • Secret Squirrel 3.1.1.1.1
            18 July 2011 at 2:19 pm

            Damn, there should be BOAT LOADS of aggrieved socialists heading for Cuba?
            (There should be good backload deals from Florida)

            • Ianupnorth 3.1.1.1.1.1
              18 July 2011 at 2:47 pm

              I visited Venezuela just before Chavez et. al. got control in the early 1990’s. At that time only the uber rich (e.g. those earning more than US$100K, less than 1% of the population) actually paid tax – and the top rate was a mighty 10%.
              Post Chavez tax rates were aligned to the rest of the world, hence the uber rich got hammered and why they all got slightly upset. But then again, they had developing infrastructure, good health care, education, etc..

              • KJT …
                18 July 2011 at 2:55 pm

                Hence the USA using the Colombian Regime to try and topple Chavez.

                Don’t need examples of successful socialism.

                • Vicky32 …
                  18 July 2011 at 6:49 pm

                  Oh yes. A good 60% of Americans I have spoken with online genuinely believe that Chavez is an unelected military dictator. The propaganda works! 🙁

              • Gosman …
                18 July 2011 at 3:47 pm

                Yes I’ve read the Venezualan economy is going great at the moment with no shortages caused by Socialist inspired policies

                http://english.eluniversal.com/2011/07/14/expanding-state-results-in-shortage-of-staples-and-services.shtml

                • AAMC …
                  18 July 2011 at 5:43 pm

                  Even Chomsky is criticizing Chavez for his slide towards Totalitarianism, such a pity, as it had been a good example of a socialist revolution..

                  http://www.guardian.co.uk/world/2011/jul/03/noam-chomsky-hugo-chavez-democracy

                  • travellerev …
                    18 July 2011 at 6:28 pm

                    Yeah, and he also has come around to some of the 9/11 truth movements arguments.
                    Chavez by the way abdicated his power while in Cuba for cancer treatment so he is not a total control freak it seems.

                  • Vicky32 …
                    18 July 2011 at 7:04 pm

                    Even Chomsky is criticizing Chavez for his slide towards Totalitarianism, such a pity, as it had been a good example of a socialist revolution..

                    You do know that he has complained angrily about having been mis-quoted, don’t you?

                    • AAMC …
                      18 July 2011 at 7:16 pm

                      From Chomsky’s letter..

                      “For the above reasons I want Venezuelans to be aware of my total solidarity with judge Afiuni, while I affirm my unwavering commitment with the efforts advanced by the Carr Centre in Harvard University to release her from imprisonment. At the same time, I shall keep high hopes that President Chávez will consider a humanitarian act that will end the judge’s detention.”

                      The full transcript of his Guardian interview…

                      http://www.guardian.co.uk/world/2011/jul/04/noam-chomsky-venezuela?intcmp=239

                      “Well as far as I’m aware she’s not receiving any trial at all. I rather doubt, I’d be sceptical about whether she could receive a fair trial.

                      I mean it’s kind of striking that, as far as I understand, you probably know better, other judges have not come out in support of her. Which seems rather strange given the circumstances. If Amnesty International does I don’t see why judges in Venezuela shouldn’t. That suggests an atmosphere of either intimidation or unwillingness to consider the case seriously.”

                      Believe me, I hope dearly that Chavez proves to be all he promised to be, but imprisoning the Judiciary when you don’t agree with it is a little more Stalin/Mao than my Social Democracy desires are comfortable with.

                      I would love you to prove my unease wrong!

  4. Colonial Viper 4
    18 July 2011 at 1:00 pm

    The irresponsibility of the wealthy – those who would pay nothing (and sometimes do) to contribute to the running of government and our social welfare system of health, education and benefits for all.

  5. Rich 5
    18 July 2011 at 1:10 pm

    I know plenty of smart, well qualified people (including myself) who’ve moved to NZ exactly because we have a liberal, less greedy society. The more we move in that direction, the more such people we’ll get.

    And they’ll be way better at skilled and management jobs than those who just want to screw money out of the taxpayer and/or their workers.

  6. Secret Squirrel 6
    18 July 2011 at 1:10 pm

    “Do we need the kind of people that would?”

    You could suggest that to Labour as a new party slogan.
    And add “please leave before the election”.

    • Colonial Viper 6.1
      18 July 2011 at 1:24 pm

      Hey SS no need to do that, National is driving them away as fast as now. 3300 in May.

  7. alex 7
    18 July 2011 at 2:14 pm

    Lawyers leaving the country can only be a good thing. There is an endless supply of law school graduates who will struggle to get jobs in this country unless they are vacated by the incumbents. Furthermore, as lawyering is by definition a parasitic occupation, the fewer here the better.

    • mik e 7.1
      18 July 2011 at 7:37 pm

      Alex theres plenty of bean brained bean counters that are trying to turn this country into a feudal state that could go with them,

  8. Craig Glen Eden 8
    18 July 2011 at 2:30 pm

    The truth is its not predominately high earners that leave its skilled low paid workers that leave.

    Casey like the property developer the other day that don’t want to pay tax and build NZ should go, just leave NZ does not need them.

    If the tax rate as it currently stands was working why are so many people leaving?

    All the greedy spoilt people will say oh well it dose not suit me I will leave, well do it,go to Aussie.

    While you are at it take Key and English with you to, please please please take them.

    • KJT 8.1
      18 July 2011 at 2:57 pm

      You really think that skilled builders, plumbers, technicians etc are low paid in Australia??

      If a lot of Lawyers leave we may be able to get rid of our Government make work schemes for lawyers and spend more money on retaining teachers.

      • Craig Glen Eden 8.1.1
        18 July 2011 at 3:59 pm

        No I dont think trades people are low paid in Aussie thats why kiwis leave NZ

        “The truth is its not predominately high earners that leave its skilled low paid workers that leave.”

        You have missed read me I think KJT

  9. battleheed 9
    18 July 2011 at 3:07 pm

    Greedy prick is just a leech, he should piss off sooner rather than later and take all his greedy leech friends with him.

  10. travellerev 10
    18 July 2011 at 4:33 pm

    Hahahaha. I remember the Stones leaving England because of tax reasons. Made an awesome record “Exile on main street” (Just read Keith Richards autobiography “Life’ Great read, brought it all back) Now, they were paying 93% tax at the time.

    Earn a million pounds and go home with 70.000 between the six of them and their manager and crew. Now that is cause for leaving a country and even then they hated it. Almost killed them by the sounds of it.

    And look at Pope Bono and U2. They left Ireland over tax reasons and are getting booed of stage.

    Let them leave, let them find out what it means to up and go and rebuild their lives over a couple of thousands of dollars. Who needs them.

    Let’s nationalise what they can’t take and get on with it.

    • Gosman 10.1
      18 July 2011 at 4:35 pm

      Excellent, you read exactly like Comrade Mugabe. I can’t wait for the Socialist paradise that will magically appear just has it has in Zimbabwe after nationalisation of private property rights there.

  11. travellerev 11
    18 July 2011 at 4:41 pm

    Cowboy hat boy? Whatever. Go do your homework or something.

  12. AAMC 12
    18 July 2011 at 5:50 pm

    I know a bunch of talented motivated people who have recently left this country. Not one of them in a response to tax, rather as a response to the conservative old boys club that is doing irreparable damage to their opportunity and their futures.
    The more I wave goodbye to, the closer I get to also pursuing a higher tax rate in a more equitable country… it’s just there aren’t many options.

    • travellerev 12.1
      18 July 2011 at 6:36 pm

      Funny how when there is more income inequality the social cohesion is the first that crumbles and the sense of trust disappears and people generally feel more taken advantage off and unhappy.

      • AAMC 12.1.1
        18 July 2011 at 6:55 pm

        And their distrust of and apathy towards politicians grows which results in an abdication of power to those who have perpetuated the problems they’re facing.

        “social cohesion is the first that crumbles and the sense of trust disappears and people generally feel more taken advantage off and unhappy.”

        Or does it just tarnish the glow of the American Dream for long enough for people to realize the extent to which they are taken advantage of?

      • mik e 12.1.2
        18 July 2011 at 8:06 pm

        Brain Gaynor is right on the money the old boys club just want to make a quick buck and thats s why there is no long term plan for the economy under the right ,just let predating profit makers strip the economy and w,ell be just tenets in our own land[Quote John Key].The reserve bank chases its own tail the productive sector destroys itself every time it starts making headway. Rising interest rates force the dollar up increasing profit by margin and then dollar value, while our economy falters either farming if commodities are high manufacturing and tourism falter the opposite when farming is faltering, we need to stabilize our currency by saving more when inflation is high and increasing tax to pay down debt and reverse when inflation is low that early pay off of debt would bring down our dollar plus the increase in savings would make us less likely to need overseas borrowing help our dollar go down.Heaven help us if we found OIL our dollar would shoot the the roof and every other sector of th economy would be destroyed by being over priced real good strategy Gerry Brownlee & John Key typical no plan laissez fair

    • Colonial Viper 12.2
      18 July 2011 at 8:16 pm

      People gotta wake up, and soon. The vital life blood of the country is drip drip dripping away, the National blood letters promised all of us a cure but that cold deadness in our country’s finger tips and toes is getting worse not better

  13. Kaplan 13
    18 July 2011 at 8:26 pm

    Is it fair to assume that it is this Casey Plunket?
    http://www.chapmantripp.com/people/Pages/Casey-Plunket.aspx
    Who is also “the co-convenor of the New Zealand Law Society Tax Committee, and a member of the Government’s Rewrite Advisory Panel”
    He seems to by quite the JK groupie
    http://www.chapmantripp.com/news/Pages/Way-to-go,-Mr-Key.aspx

  14. Drakula 14
    18 July 2011 at 9:34 pm

    Oh well lets give Casey Pluncket a ticket to Somalia a tax free haven!!!!!

  15. Drakula 15
    18 July 2011 at 9:40 pm

    Of course the ticket will be one way and not negotiable, meaning he won’t be able to cash it in!!!!

  16. deemac 16
    18 July 2011 at 10:52 pm

    please note how the trolls try to divert any factual discussion of the situation in NZ to pointless (on this site anyway) discussions about Cuba or Chavez or whatever? We need to ignore attempts to distract us from the task at hand, ie to expose the bankruptcy of the NACT govt’s economic plans.

    • Colonial Viper 16.1
      18 July 2011 at 11:27 pm

      🙂

    • AAMC 16.2
      19 July 2011 at 8:33 am

      And there goes the problem in this country. Attempting to live in a bubble and ignoring the lessons the rest of the world teach us.

      I would have thought for instance, the Fresh Water Economists hailing from Chicago had some influence over not only the GFC but also NACTional economic thinking, and having such recent evidence of the failing of that thinking should inform our desire and increase our ability to get Key n co out.

      Equally, it is important that the “Left” when and if one of it’s prophets fail, acknowledge that failing and let it inform their thinking.
      Otherwise, this game of politics truly has become useless.

      I don’t see broadening the worldview as an act of trolling.

  17. jbc 17
    19 July 2011 at 12:11 am

    I left in 2000 after the first 39% tax hike. It was a much bigger hit at the time, cutting in at about $60k if I recall correctly.

    Anyway, the problem with individual income tax is that salary and wage earners can not escape it. Skilled professional salary earners more so, since they tend to earn more. Business owners can dodge it.

    At the time I was struggling – split with partner – refinanced and doubled my mortgage an in the middle of fixing up a 90 year old house. Nobody’s fault but tax was already my biggest outgoing and I had bills that I was already wondering how to pay. The 6c rate hike was a punch in the eye for sure.

    I remember a conversation I had with the electrician. To cut costs I was working with him while I took some leave so we chatted a lot. Turns out he paid very little tax and lived pretty well. I knew his hourly rate and how busy he was. 39c rate did not touch him. The benefits of being able to expense and depreciate which he explained in great detail. IRD “It’s our job to be fair” – well, not really.

    Somehow that started a train of thinking that ended with me cashing up and voting with a plane ticket.

    So, long story, but I can confirm that the 39c rate was all the push I needed at the time.

    I had another push a few years later when the govt announced an incentive for expats to return. In order to qualify you needed to be out of the country for 10 years… so here I am still out of country. Unintended consequences I guess.

    • Colonial Viper 17.1
      19 July 2011 at 12:36 am

      So, long story, but I can confirm that the 39c rate was all the push I needed at the time.

      The thing is, that’s not the really interesting part of the story. It is to you of course as it was your life decision then, but in terms of generalisability it’s not.

      Turns out he paid very little tax and lived pretty well. I knew his hourly rate and how busy he was. 39c rate did not touch him. The benefits of being able to expense and depreciate which he explained in great detail.

      This is the really interesting part of the story. There are some real insights to be gained from examining this part.

      And its working with this part which will allow ordinary PAYE affected earners to receive a $5000 pa tax free allowance.

    • lprent 17.2
      19 July 2011 at 12:54 am

      Yep. But the basic problem is that PAYE is too effective, so a higher and higher proportion of the tax take has come from it since it’s introduction. When I have contracted, it is a lot easier to expense everything and to drop tax levels markedly, but a lot of irritating hassle. GST has a wider capture but is really really regressive – it is a higher proportion of lower income earners total income because almost all of the exemptions like property are rich people’s toys apart from rent.

      You can argue about the spending side as much as you like, but basically the vast majority of the spending is there for a purpose. The biggest chunk in superannuation. Government should only reduce revenue when it has already reduced spending. Unlike these current idiots who bank the savings in spending in tax cuts before managing to make the cuts successsfully. Which is basically why they now have a debt problem.

      But the overall tax base needs broadening in several directions. At present too many people are escaping being taxed – which is why PAYE and GST are high.

      I have no real issues with having a progressive tax system provided the extremes aren’t that high. At one stage my father was on a nominal 60+% – which encouraged him to spend more time playing with property. What is irritating is seeing people wasting effort and putting the money into avoiding tax rather than into something productive – because that is what the tax system tells them to do. My guesstimate is that currently something like 40% of the wealth is tied up like that – mostly in trusts.

      That is what needs to be targeted so that those who don’t bother avoiding tax, like yourself and me (and who are extremely productive) – don’t overpay tax or have to waste effort avoiding it.

      There have been a number of times in the last couple of years I have been tempted to follow you and others offshore. This government seems to be trying to drive those of us productive ones remaining away. In classic conservative style they are not concentrating on anything useful for the fuure. They are merely repeating the idiocies of the 90s.

      J: I would suggest staying away. It doesn’t look pleasant the next few years with these short term thinkers in power.

      • jbc 17.2.1
        19 July 2011 at 2:34 am

        PAYE is unfortunate in that those most impacted by it aren’t the really mega-wealthy, but are employees who have no escape. Probably employees with skills in high demand. I’ve heard it said that one of the reasons PAYE is so effective is that it is unavoidable. Like taking candy from a baby.

        So on one hand the CGT is a useful broadening move, but then the burden is put back on the higher salary earners as well. Sure it is a tiny percentage of voters so not really a big deal to tap them for a few more dollars.

        Ask yourself the question: why not lift the company rate to match? 😉 Then you can see that this personal rate is all about squeezing the people that have nowhere to hide.

        Re-opening the company/personal tax gap is not a smart move.

        I don’t expect to get any sympathy for my point of view, as I’m now in the same position as my local Pt Chev electrician was in 2000. Since then I have all of my income paid into a company, from which I draw a salary that my family can live on.

        I do find it a little ironic that it was tax policy that pushed me to the business direction, and had the tax appeared fairer to begin with then I would have been (reluctantly) happy to contribute more as an earner.

  18. her 18
    19 July 2011 at 12:08 pm

    No one would leave for that. It would just be another sweetener.

    • Colonial Viper 18.1
      19 July 2011 at 12:28 pm

      Having a good health system, a good education system, top universities, power and transport infrastructure with proper investment, and a great sustainable environment are also good sweeteners.

      And that costs tax money to pay for. And the more we run the environmental and human capital of this country down the more people will go.

      PS the window of Australia being the employment safety release valve for NZ is closing.

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    Nick’s KōreroBy Nick Rockel
    2 days ago
  • Why were the 1930s so hot in North America?

    This is a re-post from Yale Climate Connections by Jeff Masters and Bob Henson Those who’ve trawled social media during heat waves have likely encountered a tidbit frequently used to brush aside human-caused climate change: Many U.S. states and cities had their single hottest temperature on record during the 1930s, setting incredible heat marks ...
    Skeptical Science
    2 days ago
  • Throwback Thursday – Thinking about Expressways

    Some of the recent announcements from the government have reminded us of posts we’ve written in the past. Here’s one from early 2020. There were plenty of reactions to the government’s infrastructure announcement a few weeks ago which saw them fund a bunch of big roading projects. One of ...
    Greater AucklandBy Greater Auckland
    2 days ago
  • The Kākā’s Pick 'n' Mix for Thursday, July 25

    TL;DR: My pick of the top six links elsewhere around housing, climate and poverty in Aotearoa’s political economy in the last day or so to 7:00 am on Thursday, July 25 are:News: Why Electric Kiwi is closing to new customers - and why it matters RNZ’s Susan EdmundsScoop: Government drops ...
    The KakaBy Bernard Hickey
    2 days ago
  • The Possum: Demon or Friend?

    Hi,I felt a small wet tongue snaking through one of the holes in my Crocs. It explored my big toe, darting down one side, then the other. “He’s looking for some toe cheese,” said the woman next to me, words that still haunt me to this day.Growing up in New ...
    David FarrierBy David Farrier
    2 days ago
  • Not a story

    Yesterday I happily quoted the Prime Minister without fact-checking him and sure enough, it turns out his numbers were all to hell. It’s not four kg of Royal Commission report, it’s fourteen.My friend and one-time colleague-in-comms Hazel Phillips gently alerted me to my error almost as soon as I’d hit ...
    More Than A FeildingBy David Slack
    2 days ago
  • The Kākā’s Journal of Record for Thursday, July 25

    TL;DR: As of 6:00 am on Thursday, July 25, the top six announcements, speeches, reports and research around housing, climate and poverty in Aotearoa’s political economy in the last day were:The Abuse in Care Royal Commission of Inquiry published its final report yesterday.PM Christopher Luxon and The Minister responsible for ...
    The KakaBy Bernard Hickey
    2 days ago
  • A tougher line on “proactive release”?

    The Official Information Act has always been a battle between requesters seeking information, and governments seeking to control it. Information is power, so Ministers and government agencies want to manage what is released and when, for their own convenience, and legality and democracy be damned. Their most recent tactic for ...
    No Right TurnBy Idiot/Savant
    3 days ago
  • 'Let's build a motorway costing $100 million per km, before emissions costs'

    TL;DR: The top six things I’ve noted around housing, climate and poverty in Aotearoa’s political economy today are:Transport and Energy Minister Simeon Brown is accelerating plans to spend at least $10 billion through Public Private Partnerships (PPPs) to extend State Highway One as a four-lane ‘Expressway’ from Warkworth to Whangarei ...
    The KakaBy Bernard Hickey
    3 days ago
  • Lester's Prescription – Positive Bleeding.

    I live my life (woo-ooh-ooh)With no control in my destinyYea-yeah, yea-yeah (woo-ooh-ooh)I can bleed when I want to bleedSo come on, come on (woo-ooh-ooh)You can bleed when you want to bleedYea-yeah, come on (woo-ooh-ooh)Everybody bleed when they want to bleedCome on and bleedGovernments face tough challenges. Selling unpopular decisions to ...
    Nick’s KōreroBy Nick Rockel
    3 days ago
  • Casey Costello gaslights Labour in the House

    Please note:To skip directly to the- parliamentary footage in the video, scroll to 1:21 To skip to audio please click on the headphone icon on the left hand side of the screenThis video / audio section is under development. ...
    Mountain TuiBy Mountain Tui
    3 days ago
  • Why is the Texas grid in such bad shape?

    This is a re-post from the Climate Brink by Andrew Dessler Headline from 2021 The Texas grid, run by ERCOT, has had a rough few years. In 2021, winter storm Uri blacked out much of the state for several days. About a week ago, Hurricane Beryl knocked out ...
    Skeptical Science
    3 days ago
  • Gordon Campbell on a textbook case of spending waste by the Luxon government

    Given the crackdown on wasteful government spending, it behooves me to point to a high profile example of spending by the Luxon government that looks like a big, fat waste of time and money. I’m talking about the deployment of NZDF personnel to support the US-led coalition in the Red ...
    WerewolfBy lyndon
    3 days ago
  • The Kākā’s Pick 'n' Mix for Wednesday, July 24

    TL;DR: My pick of the top six links elsewhere around housing, climate and poverty in Aotearoa’s political economy in the last day or so to 7:40 am on Wednesday, July 24 are:Deep Dive: Chipping away at the housing crisis, including my comments RNZ/Newsroom’s The DetailNews: Government softens on asset sales, ...
    The KakaBy Bernard Hickey
    3 days ago
  • LXR Takaanini

    As I reported about the city centre, Auckland’s rail network is also going through a difficult and disruptive period which is rapidly approaching a culmination, this will result in a significant upgrade to the whole network. Hallelujah. Also like the city centre this is an upgrade predicated on the City ...
    Greater AucklandBy Patrick Reynolds
    3 days ago
  • Four kilograms of pain

    Today, a 4 kilogram report will be delivered to Parliament. We know this is what the report of the Royal Commission of Inquiry into Abuse in State and Faith-based Care weighs, because our Prime Minister told us so.Some reporter had blindsided him by asking a question about something done by ...
    More Than A FeildingBy David Slack
    3 days ago
  • The Kākā’s Journal of Record for Wednesday, July 24

    TL;DR: As of 7:00 am on Wednesday, July 24, the top six announcements, speeches, reports and research around housing, climate and poverty in Aotearoa’s political economy in the last day are:Beehive: Transport Minister Simeon Brown announced plans to use PPPs to fund, build and run a four-lane expressway between Auckland ...
    The KakaBy Bernard Hickey
    3 days ago
  • Luxon gets caught out

    NewstalkZB host Mike Hosking, who can usually be relied on to give Prime Minister Christopher Luxon an easy run, did not do so yesterday when he interviewed him about the HealthNZ deficit. Luxon is trying to use a deficit reported last year by HealthNZ as yet another example of the ...
    PolitikBy Richard Harman
    3 days ago
  • A worrying sign

    Back in January a StatsNZ employee gave a speech at Rātana on behalf of tangata whenua in which he insulted and criticised the government. The speech clearly violated the principle of a neutral public service, and StatsNZ started an investigation. Part of that was getting an external consultant to examine ...
    No Right TurnBy Idiot/Savant
    4 days ago
  • Are we fine with 47.9% home-ownership by 2048?

    Renting for life: Shared ownership initiatives are unlikely to slow the slide in home ownership by much. Photo: Lynn Grieveson / The KākāTL;DR: The top six things I’ve noted around housing, climate and poverty in Aotearoa’s political economy today are:A Deloitte report for Westpac has projected Aotearoa’s home-ownership rate will ...
    The KakaBy Bernard Hickey
    4 days ago
  • Let's Win This

    You're broken down and tiredOf living life on a merry go roundAnd you can't find the fighterBut I see it in you so we gonna walk it outAnd move mountainsWe gonna walk it outAnd move mountainsAnd I'll rise upI'll rise like the dayI'll rise upI'll rise unafraidI'll rise upAnd I'll ...
    Nick’s KōreroBy Nick Rockel
    4 days ago
  • Waimahara: The Singing Spirit of Water

    There’s been a change in Myers Park. Down the steps from St. Kevin’s Arcade, past the grassy slopes, the children’s playground, the benches and that goat statue, there has been a transformation. The underpass for Mayoral Drive has gone from a barren, grey, concrete tunnel, to a place that thrums ...
    Greater AucklandBy Connor Sharp
    4 days ago
  • A major milestone: Global climate pollution may have just peaked

    This is a re-post from Yale Climate Connections Global society may have finally slammed on the brakes for climate-warming pollution released by human fossil fuel combustion. According to the Carbon Monitor Project, the total global climate pollution released between February and May 2024 declined slightly from the amount released during the same ...
    Skeptical Science
    4 days ago
  • The Kākā’s Pick 'n' Mix for Tuesday, July 23

    TL;DR: My pick of the top six links elsewhere around housing, climate and poverty in Aotearoa’s political economy in the last day or so to 7:00 am on Tuesday, July 23 are:Deep Dive: Penlink: where tolling rhetoric meets reality BusinessDesk-$$$’s Oliver LewisScoop: Te Pūkenga plans for regional polytechs leak out ...
    The KakaBy Bernard Hickey
    4 days ago
  • The Kākā’s Journal of Record for Tuesday, July 23

    TL;DR: As of 6:00 am on Tuesday, July 23, the top six announcements, speeches, reports and research around housing, climate and poverty in Aotearoa’s political economy in the last day are:Health: Shane Reti announced the Board of Te Whatu Ora- Health New Zealand was being replaced with Commissioner Lester Levy ...
    The KakaBy Bernard Hickey
    4 days ago
  • HealthNZ and Luxon at cross purposes over budget blowout

    Health NZ warned the Government at the end of March that it was running over Budget. But the reasons it gave were very different to those offered by the Prime Minister yesterday. Prime Minister Christopher Luxon blamed the “botched merger” of the 20 District Health Boards (DHBs) to create Health ...
    PolitikBy Richard Harman
    4 days ago
  • 2500-3000 more healthcare staff expected to be fired, as Shane Reti blames Labour for a budget defic...

    Long ReadKey Summary: Although National increased the health budget by $1.4 billion in May, they used an old funding model to project health system costs, and never bothered to update their pre-election numbers. They were told during the Health Select Committees earlier in the year their budget amount was deficient, ...
    Mountain TuiBy Mountain Tui
    4 days ago
  • Might Kamala Harris be about to get a 'stardust' moment like Jacinda Ardern?

    As a momentous, historic weekend in US politics unfolded, analysts and commentators grasped for precedents and comparisons to help explain the significance and power of the choice Joe Biden had made. The 46th president had swept the Democratic party’s primaries but just over 100 days from the election had chosen ...
    PunditBy Tim Watkin
    5 days ago
  • Solutions Interview: Steven Hail on MMT & ecological economics

    TL;DR: I’m casting around for new ideas and ways of thinking about Aotearoa’s political economy to find a few solutions to our cascading and self-reinforcing housing, poverty and climate crises.Associate Professor runs an online masters degree in the economics of sustainability at Torrens University in Australia and is organising ...
    The KakaBy Steven Hail
    5 days ago
  • Reported back

    The Finance and Expenditure Committee has reported back on National's Local Government (Water Services Preliminary Arrangements) Bill. The bill sets up water for privatisation, and was introduced under urgency, then rammed through select committee with no time even for local councils to make a proper submission. Naturally, national's select committee ...
    No Right TurnBy Idiot/Savant
    5 days ago
  • Vandrad the Viking, Christopher Coombes, and Literary Archaeology

    Some years ago, I bought a book at Dunedin’s Regent Booksale for $1.50. As one does. Vandrad the Viking (1898), by J. Storer Clouston, is an obscure book these days – I cannot find a proper online review – but soon it was sitting on my shelf, gathering dust alongside ...
    A Phuulish FellowBy strda221
    5 days ago
  • Gordon Campbell On The Biden Withdrawal

    History is not on the side of the centre-left, when Democratic presidents fall behind in the polls and choose not to run for re-election. On both previous occasions in the past 75 years (Harry Truman in 1952, Lyndon Johnson in 1968) the Democrats proceeded to then lose the White House ...
    WerewolfBy lyndon
    5 days ago
  • Joe Biden's withdrawal puts the spotlight back on Kamala and the USA's complicated relatio...

    This is a free articleCoverageThis morning, US President Joe Biden announced his withdrawal from the Presidential race. And that is genuinely newsworthy. Thanks for your service, President Biden, and all the best to you and yours.However, the media in New Zealand, particularly the 1News nightly bulletin, has been breathlessly covering ...
    Mountain TuiBy Mountain Tui
    5 days ago
  • Why we have to challenge our national fiscal assumptions

    A homeless person’s camp beside a blocked-off slipped damage walkway in Freeman’s Bay: we are chasing our tail on our worsening and inter-related housing, poverty and climate crises. Photo: Photo: Lynn Grieveson / The KākāTL;DR: The top six things I’ve noted around housing, climate and poverty in Aotearoa’s political economy ...
    The KakaBy Bernard Hickey
    5 days ago
  • Existential Crisis and Damaged Brains

    What has happened to it all?Crazy, some'd sayWhere is the life that I recognise?(Gone away)But I won't cry for yesterdayThere's an ordinary worldSomehow I have to findAnd as I try to make my wayTo the ordinary worldYesterday morning began as many others - what to write about today? I began ...
    Nick’s KōreroBy Nick Rockel
    5 days ago
  • A speed limit is not a target, and yet…

    This is a guest post from longtime supporter Mr Plod, whose previous contributions include a proposal that Hamilton become New Zealand’s capital city, and that we should switch which side of the road we drive on. A recent Newsroom article, “Back to school for the Govt’s new speed limit policy“, ...
    Greater AucklandBy Guest Post
    5 days ago
  • The Kākā’s Pick 'n' Mix for Monday, July 22

    TL;DR: My pick of the top six links elsewhere around housing, climate and poverty in Aotearoa’s political economy in the last day or so to 7:00 am on Monday, July 22 are:Today’s Must Read: Father and son live in a tent, and have done for four years, in a million ...
    The KakaBy Bernard Hickey
    5 days ago
  • The Kākā’s Journal of Record for Monday, July 22

    TL;DR: As of 7:00 am on Monday, July 22, the top six announcements, speeches, reports and research around housing, climate and poverty in Aotearoa’s political economy in the last day are:US President Joe Biden announced via X this morning he would not stand for a second term.Multinational professional services firm ...
    The KakaBy Bernard Hickey
    5 days ago
  • 2024 SkS Weekly Climate Change & Global Warming News Roundup #29

    A listing of 32 news and opinion articles we found interesting and shared on social media during the past week: Sun, July 14, 2024 thru Sat, July 20, 2024. Story of the week As reflected by preponderance of coverage, our Story of the Week is Project 2025. Until now traveling ...
    Skeptical Science
    6 days ago
  • I'd like to share what I did this weekend

    This weekend, a friend pointed out someone who said they’d like to read my posts, but didn’t want to pay. And my first reaction was sympathy.I’ve already told folks that if they can’t comfortably subscribe, and would like to read, I’d be happy to offer free subscriptions. I don’t want ...
    Mountain TuiBy Mountain Tui
    6 days ago
  • For the children – Why mere sentiment can be a misleading force in our lives, and lead to unex...

    National: The Party of ‘Law and Order’ IntroductionThis weekend, the Government formally kicked off one of their flagship policy programs: a military style boot camp that New Zealand has experimented with over the past 50 years. Cartoon credit: Guy BodyIt’s very popular with the National Party’s Law and Order image, ...
    Mountain TuiBy Mountain Tui
    6 days ago
  • A friend in uncertain times

    Day one of the solo leg of my long journey home begins with my favourite sound: footfalls in an empty street. 5.00 am and it’s already light and already too warm, almost.If I can make the train that leaves Budapest later this hour I could be in Belgrade by nightfall; ...
    More Than A FeildingBy David Slack
    6 days ago
  • The Chaotic World of Male Diet Influencers

    Hi,We’ll get to the horrific world of male diet influencers (AKA Beefy Boys) shortly, but first you will be glad to know that since I sent out the Webworm explaining why the assassination attempt on Donald Trump was not a false flag operation, I’ve heard from a load of people ...
    David FarrierBy David Farrier
    6 days ago
  • It's Starting To Look A Lot Like… Y2K

    Do you remember Y2K, the threat that hung over humanity in the closing days of the twentieth century? Horror scenarios of planes falling from the sky, electronic payments failing and ATMs refusing to dispense cash. As for your VCR following instructions and recording your favourite show - forget about it.All ...
    Nick’s KōreroBy Nick Rockel
    1 week ago
  • Bernard’s Saturday Soliloquy for the week to July 20

    Climate Change Minister Simon Watts being questioned by The Kākā’s Bernard Hickey.TL;DR: My top six things to note around housing, climate and poverty in Aotearoa’s political economy in the week to July 20 were:1. A strategy that fails Zero Carbon Act & Paris targetsThe National-ACT-NZ First Coalition Government finally unveiled ...
    The KakaBy Bernard Hickey
    1 week ago
  • Pharmac Director, Climate Change Commissioner, Health NZ Directors – The latest to quit this m...

    Summary:As New Zealand loses at least 12 leaders in the public service space of health, climate, and pharmaceuticals, this month alone, directly in response to the Government’s policies and budget choices, what lies ahead may be darker than it appears. Tui examines some of those departures and draws a long ...
    Mountain TuiBy Mountain Tui
    1 week ago
  • Flooding Housing Policy

    The Minister of Housing’s ambition is to reduce markedly the ratio of house prices to household incomes. If his strategy works it would transform the housing market, dramatically changing the prospects of housing as an investment.Leaving aside the Minister’s metaphor of ‘flooding the market’ I do not see how the ...
    PunditBy Brian Easton
    1 week ago
  • A Voyage Among the Vandals: Accepted (Again!)

    As previously noted, my historical fantasy piece, set in the fifth-century Mediterranean, was accepted for a Pirate Horror anthology, only for the anthology to later fall through. But in a good bit of news, it turned out that the story could indeed be re-marketed as sword and sorcery. As of ...
    A Phuulish FellowBy strda221
    1 week ago
  • The Kākā's Chorus for Friday, July 19

    An employee of tobacco company Philip Morris International demonstrates a heated tobacco device. Photo: Getty ImagesTL;DR: The top six things I’ve noted around housing, climate and poverty in Aotearoa’s political economy on Friday, July 19 are:At a time when the Coalition Government is cutting spending on health, infrastructure, education, housing ...
    The KakaBy Bernard Hickey
    1 week ago
  • The Kākā’s Pick 'n' Mix for Friday, July 19

    TL;DR: My pick of the top six links elsewhere around housing, climate and poverty in Aotearoa’s political economy in the last day or so to 8:30 am on Friday, July 19 are:Scoop: NZ First Minister Casey Costello orders 50% cut to excise tax on heated tobacco products. The minister has ...
    The KakaBy Bernard Hickey
    1 week ago
  • Weekly Roundup 19-July-2024

    Kia ora, it’s time for another Friday roundup, in which we pull together some of the links and stories that caught our eye this week. Feel free to add more in the comments! Our header image this week shows a foggy day in Auckland town, captured by Patrick Reynolds. ...
    Greater AucklandBy Greater Auckland
    1 week ago
  • Weekly Climate Wrap: A market-led plan for failure

    TL;DR : Here’s the top six items climate news for Aotearoa this week, as selected by Bernard Hickey and The Kākā’s climate correspondent Cathrine Dyer. A discussion recorded yesterday is in the video above and the audio of that sent onto the podcast feed.The Government released its draft Emissions Reduction ...
    The KakaBy Bernard Hickey
    1 week ago
  • Tobacco First

    Save some money, get rich and old, bring it back to Tobacco Road.Bring that dynamite and a crane, blow it up, start all over again.Roll up. Roll up. Or tailor made, if you prefer...Whether you’re selling ciggies, digging for gold, catching dolphins in your nets, or encouraging folks to flutter ...
    Nick’s KōreroBy Nick Rockel
    1 week ago
  • Trump’s Adopted Son.

    Waiting In The Wings: For truly, if Trump is America’s un-assassinated Caesar, then J.D. Vance is America’s Octavian, the Republic’s youthful undertaker – and its first Emperor.DONALD TRUMP’S SELECTION of James D. Vance as his running-mate bodes ill for the American republic. A fervent supporter of Viktor Orban, the “illiberal” prime ...
    Bowalley Road
    1 week ago
  • The Kākā’s Journal of Record for Friday, July 19

    TL;DR: As of 6:00 am on Friday, July 19, the top six announcements, speeches, reports and research around housing, climate and poverty in Aotearoa’s political economy in the last day are:The PSA announced the Employment Relations Authority (ERA) had ruled in the PSA’s favour in its case against the Ministry ...
    The KakaBy Bernard Hickey
    1 week ago

  • Joint statement from the Prime Ministers of Canada, Australia and New Zealand

    Australia, Canada and New Zealand today issued the following statement on the need for an urgent ceasefire in Gaza and the risk of expanded conflict between Hizballah and Israel. The situation in Gaza is catastrophic. The human suffering is unacceptable. It cannot continue.  We remain unequivocal in our condemnation of ...
    BeehiveBy beehive.govt.nz
    17 hours ago
  • AG reminds institutions of legal obligations

    Attorney-General Judith Collins today reminded all State and faith-based institutions of their legal obligation to preserve records relevant to the safety and wellbeing of those in its care. “The Abuse in Care Inquiry’s report has found cases where records of the most vulnerable people in State and faith‑based institutions were ...
    BeehiveBy beehive.govt.nz
    20 hours ago
  • More young people learning about digital safety

    Minister of Internal Affairs Brooke van Velden says the Government’s online safety website for children and young people has reached one million page views.  “It is great to see so many young people and their families accessing the site Keep It Real Online to learn how to stay safe online, and manage ...
    BeehiveBy beehive.govt.nz
    21 hours ago
  • Speech to the Conference for General Practice 2024

    Tēnā tātou katoa,  Ngā mihi te rangi, ngā mihi te whenua, ngā mihi ki a koutou, kia ora mai koutou. Thank you for the opportunity to be here and the invitation to speak at this 50th anniversary conference. I acknowledge all those who have gone before us and paved the ...
    BeehiveBy beehive.govt.nz
    23 hours ago
  • Employers and payroll providers ready for tax changes

    New Zealand’s payroll providers have successfully prepared to ensure 3.5 million individuals will, from Wednesday next week, be able to keep more of what they earn each pay, says Finance Minister Nicola Willis and Revenue Minister Simon Watts.  “The Government's tax policy changes are legally effective from Wednesday. Delivering this tax ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Experimental vineyard futureproofs wine industry

    An experimental vineyard which will help futureproof the wine sector has been opened in Blenheim by Associate Regional Development Minister Mark Patterson. The covered vineyard, based at the New Zealand Wine Centre – Te Pokapū Wāina o Aotearoa, enables controlled environmental conditions. “The research that will be produced at the Experimental ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Funding confirmed for regions affected by North Island Weather Events

    The Coalition Government has confirmed the indicative regional breakdown of North Island Weather Event (NIWE) funding for state highway recovery projects funded through Budget 2024, Transport Minister Simeon Brown says. “Regions in the North Island suffered extensive and devastating damage from Cyclone Gabrielle and the 2023 Auckland Anniversary Floods, and ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Indonesian Foreign Minister to visit

    Indonesia’s Foreign Minister, Retno Marsudi, will visit New Zealand next week, Foreign Minister Winston Peters has announced.   “Indonesia is important to New Zealand’s security and economic interests and is our closest South East Asian neighbour,” says Mr Peters, who is currently in Laos to engage with South East Asian partners. ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Strengthening partnership with Ngāti Maniapoto

    He aha te kai a te rangatira? He kōrero, he kōrero, he kōrero. The government has reaffirmed its commitment to supporting the aspirations of Ngāti Maniapoto, Minister for Māori Development Tama Potaka says. “My thanks to Te Nehenehenui Trust – Ngāti Maniapoto for bringing their important kōrero to a ministerial ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Transport Minister thanks outgoing CAA Chair

    Transport Minister Simeon Brown has thanked outgoing Chair of the Civil Aviation Authority, Janice Fredric, for her service to the board.“I have received Ms Fredric’s resignation from the role of Chair of the Civil Aviation Authority,” Mr Brown says.“On behalf of the Government, I want to thank Ms Fredric for ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Test for Customary Marine Title being restored

    The Government is proposing legislation to overturn a Court of Appeal decision and amend the Marine and Coastal Area Act in order to restore Parliament’s test for Customary Marine Title, Treaty Negotiations Minister Paul Goldsmith says.  “Section 58 required an applicant group to prove they have exclusively used and occupied ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Opposition united in bad faith over ECE sector review

    Regulation Minister David Seymour says that opposition parties have united in bad faith, opposing what they claim are ‘dangerous changes’ to the Early Childhood Education sector, despite no changes even being proposed yet.  “Issues with affordability and availability of early childhood education, and the complexity of its regulation, has led ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Kiwis having their say on first regulatory review

    After receiving more than 740 submissions in the first 20 days, Regulation Minister David Seymour is asking the Ministry for Regulation to extend engagement on the early childhood education regulation review by an extra two weeks.  “The level of interest has been very high, and from the conversations I’ve been ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Government upgrading Lower North Island commuter rail

    The Coalition Government is investing $802.9 million into the Wairarapa and Manawatū rail lines as part of a funding agreement with the NZ Transport Agency (NZTA), KiwiRail, and the Greater Wellington and Horizons Regional Councils to deliver more reliable services for commuters in the lower North Island, Transport Minister Simeon ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Government moves to ensure flood protection for Wairoa

    Local Government Minister Simeon Brown has announced his intention to appoint a Crown Manager to both Hawke’s Bay Regional and Wairoa District Councils to speed up the delivery of flood protection work in Wairoa."Recent severe weather events in Wairoa this year, combined with damage from Cyclone Gabrielle in 2023 have ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • PM speech to Parliament – Royal Commission of Inquiry’s Report into Abuse in Care

    Mr Speaker, this is a day that many New Zealanders who were abused in State care never thought would come. It’s the day that this Parliament accepts, with deep sorrow and regret, the Report of the Royal Commission of Inquiry into Abuse in Care.  At the heart of this report are the ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Government acknowledges torture at Lake Alice

    For the first time, the Government is formally acknowledging some children and young people at Lake Alice Psychiatric Hospital experienced torture. The final report of the Royal Commission of Inquiry into Abuse in State and Faith-based Care “Whanaketia – through pain and trauma, from darkness to light,” was tabled in Parliament ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Government acknowledges courageous abuse survivors

    The Government has acknowledged the nearly 2,400 courageous survivors who shared their experiences during the Royal Commission of Inquiry into Historical Abuse in State and Faith-Based Care. The final report from the largest and most complex public inquiry ever held in New Zealand, the Royal Commission Inquiry “Whanaketia – through ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Half a million people use tax calculator

    With a week to go before hard-working New Zealanders see personal income tax relief for the first time in fourteen years, 513,000 people have used the Budget tax calculator to see how much they will benefit, says Finance Minister Nicola Willis.  “Tax relief is long overdue. From next Wednesday, personal income ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Paid Parental Leave improvements pass first reading

    Workplace Relations and Safety Minister Brooke van Velden says a bill that has passed its first reading will improve parental leave settings and give non-biological parents more flexibility as primary carer for their child. The Regulatory Systems Amendment Bill (No3), passed its first reading this morning. “It includes a change ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Rebuilding the economy through better regulation

    Two Bills designed to improve regulation and make it easier to do business have passed their first reading in Parliament, says Economic Development Minister Melissa Lee. The Regulatory Systems (Economic Development) Amendment Bill and Regulatory Systems (Immigration and Workforce) Amendment Bill make key changes to legislation administered by the Ministry ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • ‘Open banking’ and ‘open electricity’ on the way

    New legislation paves the way for greater competition in sectors such as banking and electricity, Commerce and Consumer Affairs Minister Andrew Bayly says. “Competitive markets boost productivity, create employment opportunities and lift living standards. To support competition, we need good quality regulation but, unfortunately, a recent OECD report ranked New ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Charity lotteries to be permitted to operate online

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